2010 (7) TMI 741 - AT - Service Tax

Penalty - lower appellate authority has upheld the penalties imposed under Section 77 and Section 78 of the Finance Act, 1994, but has set aside the penalty under Section 76 of the Finance Act, 1994, one of the penalties imposed under Section 76 or under Section 78, is sufficient keeping in view the subsequent amendment to the law making these penalties mutually exclusive, the department s appeal is rejected.

Summary

The Appellate Tribunal CESTAT, Chennai rejected the department's appeal regarding penalties imposed under Sections 77 and 78 of the Finance Act, 1994. The lower appellate authority upheld the penalties but set aside the penalty under Section 76. The Tribunal held that one of the penalties under Section 76 or Section 78 is sufficient due to the penalties being mutually exclusive after a law amendment.